The three are co-founders of ShoreCrest Group, the newest entrant providing a mixed bag of activities including proxy battles, regular annual meeting solicitations and acting as an escrow agent involving the payment of cash or securities upon some pre-determined event. All have worked in that business, often together, for 20 years.

“We had heard the opinion that there is not a market for five proxy solicitation firms in Canada,” said Carson. “However we feel there is room for us. And if the other four feel there’s not room for them, that’s up to them.”

Adds Rice, a former colleague at Georgeson and Laurel Hill: “We know we have the most experience on the Street. We have a lot of connectivity through the law firms. We are relying on our reputation having worked on so many deals over the years and we are very confident that we will succeed.”

And the trio — who have also hired nine other staffers — have their supporters. Stephen Pincus, a partner at Goodmans LLP, said the co-founders are “very capable, proficient, focused, energetic and knowledgeable and they work in an area with lots of complexity. We have worked with them on a number of proxy fights,” added Pincus.

And Shorecrest has hit the ground running with two active files:

It is acting for Peter Kellogg and IAT Reinsurance Co. in its fight against NYSE-listed, Canadian incorporated MFC Industrial Ltd. The Kellogg Group, MFC’s largest shareholder wants to acquire control of MFC’s board at an upcoming meeting. That meeting will be held in Hong Kong on Dec. 27. Institutional Shareholder Services has recommended shareholders support two of Kellogg’s nominees. IAT also wants an expanded board.

Shorecrest is acting for Equity Financial Holdings in its fight against activist investor Smoothwater Capital Corp.

Aside from acting for one side in a proxy battle, it intends be a player in providing assistance for companies as part of their regular annual meeting reach-out to shareholders.

Those matters could range from increasing shareholder participation, or seeking the support of shareholders for a motion to be presented at the annual meeting.

“A shareholder meeting is the best time for a company to identify its shareholders and gives the issuer a reason to reach out to their shareholders,” said Carson. “A proxy solicitation firm can do that reach-out.”

While the co-founders acknowledge technology and databases make their professional life easier, they argue their human capital base, the relationships built up over 20 years, is more important. “We branched out [because of] our view that the structure of other firms became outdated. At other firms it’s our professional services that are being pitched and marketed. Now we are going out on our own and don’t really have a sales team.”

Others are not so sure about the market’s ability to support another firm. Glenn Keeling, executive vice president at CST Phoenix Advisors, said, “it’s an incredibly crowded space. Years ago there was only one provider, now there are five, all of which will have an effect on the economics of the industry.”

Keeling who has worked with two of the co-founders, added the “entry of additional players runs the risk of the same commoditization of the annual meeting space, a trend that’s happened in the U.S.”